Brace yourself for more interest rate rises.

That is the message from The Nationals Senator for New South Wales John Williams following the handing down of the Budget.

Senator Williams said all the factors are in play.

“Inflation in the first quarter of this year was .9 of one percent which must sound alarm bells for the Reserve Bank.

The Rudd Government will pump $40.8 billion of borrowed money into the economy in 2010-11and the Reserve Bank will be forced to step in with more interest rate rises to try and put a handbrake on the economy.

The young people trying to pay off a home loan, the battlers with their mortgage, and small business will bear the brunt again, along with our farmers, many of whom are still suffering drought.

The interest rate rise will also put upward pressure on the Australian dollar making it even harder for regional areas.

Labor’s economic management has failed once again and the Australian people will pay dearly”, Senator Williams said.

ENDS